The flash PMI’s from IHS Markit for the Eurozone came out better than expected. Manufacturing, services PMI advanced to 47.0 and 53.4 for the month of August. The jump in the PMI’s however did not see a much reaction from the euro currency. However, the bond markets reacted favorably with yields accelerating after the release of the report. The data comes after weeks of downbeat data.
EUR/USD Turns Flat
The currency pair has been consolidating within the levels of 1.1100 and 1.1065 since the past few days. The range established comes after the bearish flag pattern emerged. A breakdown below 1.1065 is required for the euro to extend declines. The minimum downside target is at 1.1008. However, in the event of a upside breakout from the range, the bearish pattern could be invalidated.
